NYSE:KEY

Stock Analysis Report

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Market Cap

US$18.9b

Last Updated

2021/08/01 22:15 UTC

Data Sources

Company Financials +

Executive Summary

KeyCorp operates as the holding company for KeyBank National Association that provides various retail and commercial banking products and services in the United States. More Details


Snowflake Analysis

Flawless balance sheet 6 star dividend payer.


Similar Companies

Share Price & News

How has KeyCorp's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: KEY is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: KEY's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

2.9%

KEY

0.9%

US Banks

-0.4%

US Market


1 Year Return

63.7%

KEY

59.1%

US Banks

35.9%

US Market

Return vs Industry: KEY exceeded the US Banks industry which returned 59.1% over the past year.

Return vs Market: KEY exceeded the US Market which returned 35.9% over the past year.


Shareholder returns

KEYIndustryMarket
7 Day2.9%0.9%-0.4%
30 Day-5.1%-3.6%-0.3%
90 Day-10.6%-4.6%3.1%
1 Year70.9%63.7%63.5%59.1%38.0%35.9%
3 Year4.7%-8.0%17.3%7.2%62.9%52.7%
5 Year89.3%60.4%89.5%65.8%121.3%96.9%

Long-Term Price Volatility Vs. Market

How volatile is KeyCorp's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is KeyCorp undervalued compared to its fair value and its price relative to the market?

45.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KEY ($19.66) is trading below our estimate of fair value ($35.87)

Significantly Below Fair Value: KEY is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: KEY is good value based on its PE Ratio (8.5x) compared to the US Banks industry average (10.7x).

PE vs Market: KEY is good value based on its PE Ratio (8.5x) compared to the US market (18.1x).


Price to Earnings Growth Ratio

PEG Ratio: KEY's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: KEY's PB Ratio (1.2x) is in line with the US Banks industry average.


Future Growth

How is KeyCorp forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?

-11.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KEY's earnings are forecast to decline over the next 3 years (-11.3% per year).

Earnings vs Market: KEY's earnings are forecast to decline over the next 3 years (-11.3% per year).

High Growth Earnings: KEY's earnings are forecast to decline over the next 3 years.

Revenue vs Market: KEY's revenue (0.9% per year) is forecast to grow slower than the US market (9.2% per year).

High Growth Revenue: KEY's revenue (0.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KEY's Return on Equity is forecast to be low in 3 years time (11.1%).


Past Performance

How has KeyCorp performed over the past 5 years?

12.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KEY has high quality earnings.

Growing Profit Margin: KEY's current net profit margins (31.2%) are higher than last year (20.3%).


Past Earnings Growth Analysis

Earnings Trend: KEY's earnings have grown by 12.4% per year over the past 5 years.

Accelerating Growth: KEY's earnings growth over the past year (103.4%) exceeds its 5-year average (12.4% per year).

Earnings vs Industry: KEY earnings growth over the past year (103.4%) exceeded the Banks industry 35%.


Return on Equity

High ROE: KEY's Return on Equity (13%) is considered low.


Financial Health

How is KeyCorp's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: KEY's Assets to Equity ratio (10.1x) is moderate.

Allowance for Bad Loans: KEY has a sufficient allowance for bad loans (168%).

Low Risk Liabilities: 90% of KEY's liabilities are made up of primarily low risk sources of funding.

Loan Level: KEY has an appropriate level of Loans to Assets ratio (55%).

Low Risk Deposits: KEY's Loans to Deposits ratio (68%) is appropriate.

Level of Bad Loans: KEY has an appropriate level of bad loans (0.7%).


Dividend

What is KeyCorp current dividend yield, its reliability and sustainability?

3.76%

Current Dividend Yield


Upcoming Dividend Payment

TodayAug 02 2021Ex Dividend DateAug 30 2021Dividend Pay DateSep 15 202116 days from Ex DividendBuy in the next 27 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: KEY's dividend (3.76%) is higher than the bottom 25% of dividend payers in the US market (1.31%).

High Dividend: KEY's dividend (3.76%) is in the top 25% of dividend payers in the US market (3.55%)


Stability and Growth of Payments

Stable Dividend: KEY's dividends per share have been stable in the past 10 years.

Growing Dividend: KEY's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (31.9%), KEY's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KEY's dividends in 3 years are forecast to be well covered by earnings (41.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

7.1yrs

Average management tenure


CEO

Chris Gorman (60 yo)

1.17yrs

Tenure

US$5,890,655

Compensation

Mr. Christopher Marrott Gorman, also known as Chris, has been Chairman and Chief Executive Officer at KeyCorp since May 01, 2020 and serves as its Director since September 19, 2019. He served as its Chief ...


CEO Compensation Analysis

Compensation vs Market: Chris's total compensation ($USD5.89M) is below average for companies of similar size in the US market ($USD11.20M).

Compensation vs Earnings: Chris's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: KEY's management team is seasoned and experienced (7.1 years average tenure).


Board Members

Experienced Board: KEY's board of directors are considered experienced (7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

KeyCorp's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: KeyCorp
  • Ticker: KEY
  • Exchange: NYSE
  • Founded: 1849
  • Industry: Regional Banks
  • Sector: Banks
  • Market Cap: US$18.879b
  • Shares outstanding: 960.28m
  • Website: https://www.key.com

Number of Employees


Location

  • KeyCorp
  • 127 Public Square
  • Cleveland
  • Ohio
  • 44114-1306
  • United States

Listings


Biography

KeyCorp operates as the holding company for KeyBank National Association that provides various retail and commercial banking products and services in the United States. It operates in two segments, Consume...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/01 22:15
End of Day Share Price2021/07/30 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.